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Palestine Monetary Authority: government borrowing from the banking system reached maximum limit

2012-06-11

Dr. Jihad Al Wazir, the Governor of the Palestinian Monetary Authority stressed out that the governmental borrowing from the banking system reached the allowed maximum limit by the bank according to the risk- bearing. Al Wazir indicated in a press statement that the operating banks in Palestine increased the government lending-during the past two months- to exceed $ 300 million, making them unable to increase lending in the coming period, without the real repayments from the funds received from the donors States. He explained that the Monetary Authority has taken over the past years many of the control procedures aimed at enhancing the resilience and efficiency of the banking system and its ability to confront and absorb shocks, in anticipation of the political and economic developments on regional and international levels. He stressed that the Monetary Authority is seeking permanently to maintain the strength of financial positions of banks, especially in light of regional developments and the developments of the financial crisis in Europe.


 

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